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tv   Fast Money Halftime Report  CNBC  October 4, 2012 12:00pm-1:00pm EDT

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4 1/2-year higher. some of the economic data coming in higher than expected. here's what we're following on the halftime show today. face lift. facebook is reachinging a billion users. >> romney rally on the heels of the first presidential debate. did the governor improve his chances for november and if so, how you should be trading it. first, the other big debate, whether the stock market which is having its best day in a few weeks is about to take its next leg higher. jb, you first, are we on the precipice of a leg up in the market? >> i think we've been in a leg up in the market. it looks like we kind of took a break in mid-september, but certainly the markets have felt more buoyant, especially this morning. it's really tough not to like the setup in stocks. that's the talk with talking about the market so generally. there's some great setups even if you think the market's gotten
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ahead of itself, i think that's what's gotten people coming back. tech obviously and financials now and health care which really looks fantastic. >> mike murphy, are we going higher from here? are we about to take the next significant leg-up? >> i think we are. >> the market has been holding its key technical levels. we talked about it before. it tried to get up toward the 1500 level. as long as we holds it to a the downside i think it's for the momentum to go higher. you've got a jobs report. you've got earnings report. you've got a lot of directions where the market goes right in front of us. >> and the cat lilt has been-off set by a market that wants to go higher. i don't know what a bad number is. everything that should come out as construed as negative is shrugged off by the market.
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i heard it said today. it's sort of close your eyes, hold your knows and continue on in the market. i think we've pushed 15, 25-ish. to mike's point, we went down, test 25d. what was resistance became support. we bounced. again, the fact that we're hanging around at the highs. it means by definition in my world we're going higher. why do you have to hold your nose higher at this point? economic data is starting to be at least a little bit better. >> i would sate's the most unsavory rally in my 25 years of business because it's predicated on the belief that the fed is going to be there for you. it has nothing to do with the fundamentals that the market does have. that's why i say it's unsavory. >> stephanie link, you play the hand that you're dealt, right? >> yeah. i agree with what you say. even the factory orders, you
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know, numbers today weren't bad, but they weren't as bad as expected. think one of the most encouraging data points say this week, cmi loans up. so banks are getting healther this, we know their balance sheets are getting very long so i think at least into the elections, if we speculate that romney is doing better or might win, at least the senate and the house, we get a balance there. i think the market's can continue to go higher. >> scott, a couple of nags concerns though because i think i lean more toward guy that this is an unsavory action. keep in mind small caps are not really participating to the extent that the bigger stocks are. that's number one. obviously you don't see it. number two, the transports still look spectacular lay horrible compared to the industrials. you can write that off all day long. certainly it does matter. the last thing, this is the first down quarter for earnings
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in years. we're all talking about it. we're all aware of it. but we still don't know how the market's going to react to it and to the fact that guidants is probably not going to be great for q4 either. so you've got to consider that stuff too. >> but i think a lot of people are expecting lower numbers. it will be very interesting to see how they react. >> they will. >> is it going to be second quarter where eaton reported missed numbers or is it really going to be another down leg. so i agree where you. it's going to be interesting to see how it reacts. >> bottom line is all of you guys on the desk today are bullish. that's the case. so let's play our debate, right? let's get specific. a lot of criticism over the candidates. i want you guys to be specific. mike murphy, if you think the market's going up, what are you buys today? >> across the board, we're looking to take our exposures up. we're getting a ton of industrial names and specifically, the reason you can do this -- right now we're also
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getting longer tech with apple. the main reason for this is a setup. you have a vix trading down so low you can go out. i was speaking with stephanie earlier on this. you don't know if bang of america isn't going to continue to get through ten. well, either way, you can buy protection there. you can look at an xlf put that's going to give you major protection and give you most of your earnings announcements. in the event we get up to 15, 25, but in the ee vencht you have a major downside, you have protection there. >> stephanie link, aisle play the role of jim lehrer for a moment. >> you know we're big fans of the big banks. i do think expectations are very, very low and at trough earnings in the next quarter or two, and i think technology, this is when you want to own
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technology, the seasonal trade. so some of the semiconductor companies like broadcom, we've been fine. >> josh brown? >> i don't know that i'll ever see a chart prettier than xlv. it is the one sector that's completely impervious to greece, to china, to fiscal cliff. all of these things are not going to matter. the bigger picture is that people spending more and more on health care as they age and look at the way the stocks act. i'm give you one in particular in addition to the it. merck. it's paying a huge dividend. this is the success tore that you want to look for buys in in my opinion. not laggards or industrials or nonsensitive stocks.
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>> you heard adami. let's bring in ed yar denis, president of yar denis research. welcome back to halftime. good to have you on the show. >> they think we're going higher. what do you think? >> the bulls market really has been a series of relief rallies followed by fall-offs with considers that we're about to have an apocalypse. . you get the drift. when we worry that things are going to fall apart and suddenly maybe they're not going to fall apart imnemtly, the markets go up. we had the fiscal cliff which may very well be postponed until the middle of next year. we have the euro mess that's now being cleaned up a little bit or
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maybe being shoved down the road. there's still controversy about china and what kind of landing they're going to have. i don't think they're going have a hard landing any time soon and then everybody interpreted that israel's not going to give us a surprise, that if anything it will be pushed out to next summer, so the market's going up. >> but, boy, you're discounting so many of the head winds that have to exist. >> remember, we used to talk about these things as black swans coming out of nowhere. now we're all staring at the tail risks very, very intently. we know awe the things that can go wrong and we've been worried about them for three years. it's earnings times the evaluation of the earnings. they've actually been holding up pretty well. i know the growth rate isn't going to look too good in the upcoming ewe season. year over year could be flat to
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do down a little bit. i think that's a little bit too optimistic, but i'll take 110 bucks. i think that's doable. >> maybe a hundred bucks is too optimistic. >> go ahead. >> maybe a hundred bucks is too 07ty mystic. we just don't know. >> that's true. it's all a matter of where you think it's going to end up. usually they lead the first recovery, and we don't have a second recovery. this time around things could get better. and by the way, the fed was very clever in tweaking this qe3, making it the focus on the housing mortgage through mortgage-backed securities because the housing market is already improving so i think the outlook is actually pretty sanguine, so like i certainly conceded there, there are nasty scenarios out there. >> what's too right multiple in
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the landscape that we're in now, the landscape being europe that you said the problems are solved for now, but clearly they face 5 to 10-year headwinds. china, again, we would kill for half of their growth but by their own hand, their growth rates went from duct digits to 7. given all those scenarios, what's the right scenario for gdp? >> it's a good question. it's kind of where we are now. we're actually exceeding the multiple. i think 14 is reasonable. i think the reason it's reasonable is because i think these apocalypses aren't going to happen. there is no end to the end game. central banks made sure that we're not going to have a lehman style meltdown any time soon and geopolitics never seems to
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matter until it actually matters. it's always hard to predict what's going to go on in the middle ieft or south china sea or china's internal politics but the market is going to stay focused on earnings. >> ed, where are you going to invest? do you want to invest in the u.s. or do you want to take a shot in china? deep values -- >> china's kind of interesting because it has come down so much. i was talking to some accountants recently. my theme this year and next year for now is stay home rather than go global. the u.s. economy is the one that's likely to come out of all these problems and a much better sted than just about any other economy and that will show up at earnings. >> ed, how much of today, if any, do you think is due to the perception that governor romney may have improved his standing
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at the first debate? >> i don't know. there's a lot of controversy about that. i've seen people argue that the rally we've had in the past couple of months reflects that obama might win, figuring that the market, you know, prefers dealing with somebody we know rather than somebody we don't know. i mean there's a lot of interpretations here, and obviously there are a lot of political color to all of this. look, i think that, you know, romney won last night. it isn't just that he won. obama lost with his performance. it brings him back as a credible candidate and he might win all of a sudden, whereas right before the elections everybody sort of wrote him off. so we have to look alt his policy proposals, and obama attacked romney for not having any, but actually on the fiscal side, he's getting pretty specific about favoring a cap on tax loopholes, and i think
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that's a great idea. i think it would, in fact, generate enough revenues to allow us to lock in on the bush tax cuts permanently. the question is whether the republican diehards who say no tax increase as whatsoever will sign up for that but we could have gridlock even if romney does win. the stock which may be having its best week ever, plus one billion and counting. we'll get a status on facebook's budding friendships and what's in store for the nation's biggest retailers. we'll trade the newest monthly sales figures when halftime comes back.
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the netflix rally steams ahead. the stocks are up more than 20%
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in four days. the four days since whitney tillson came on our show, did his big presentation at the value investment congress and said i still like this name. do you? >> and mark mahaney came out and put a price target on it. there's a lot of tail winds to the stock right now. valuations are still a little ridiculous. with that said, i think the right way to play this is not so much play from the longside. we talked about this last week. we said we're going to see a continued rally. we're getting it now. let the shorts flush themselves out. i'd rather get on the short side. >> come on, citi the other day said, you know, the analyst was positive on the stock because customer satisfaction improved. customer sats faction of existing customers doesn't tell me that they have a great
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strategy and way to grow their new subscribers. >> and you know, judge, it only could have improved given where it was. it had to be at a trough to say the least. so it only could improve. that's the reason why i think the stock has got on tten to th point. i understand what tillson is saying and mahaney. >> do you expect this move or is it about to evaporate? >> no. i'm a hater. all the people being very bullish this week, they're buried in this thing, number one. number two, no one should be shocked that it makes big moves. this is a 30 'em short position, so any time you've got a $120 target on a $60 stock with that many shares short you have to expect a huge rally. >> 20% in four days. >> we saw this movie though. in january it doubled. it went from 70 to 130.
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we saw just a few months ago we had the same thing play out. the stock went from 60 to 90. this is what happens in these bearish down trends. you get these massive short covering rallies. i'm going to tell you one thing. you only have so much room in your portfolio for different stocks. why would you own shares with unproven business model, big investments overseas and their two biggest competitor is going to be amazon. who's going to have time for that aggravation. >> do you want to rebut that? >> no. think josh laid it out there. netflix, i think it made a great move. i wish i was 20% long for this fund. >> me too. >> but the business here can be called into question. you can make the strong argument there's no need for netflix in the course of the next year. i wouldn't want to be investing in netflix.
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facebook announcing a milestone today. a billion users. nbc's matt lauer sat down with ceo mark zuckerberg. take a listen. >> if a company has a billion customers, how can they not be killing it making money? >> well, i think it depends on your definition of killing it. we are making billions of dollars, right? we are a public company now, so i can talk about it. >> all right. so does facebook's billion milestone and the launch of a commercial campaign mean an upside for the company. >>. if only it were that easy. you've got a billion users and nothing to worry about. >> it's a little more challenging than that. >> what's the significance of reaching a billion users if zuckerberg told matt lauer they have 600 million mobile users. what they're saying is two
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thirds of your users are on mobile and mobile is still the big question. >> another one we're not hairing a lot about is 100 million are registered using instagram. that's a big threat to facebook. they bought it and people are fleeing to something that they own. so i think that facebook is uniquely positioned on mobile. you know, the ad units on mobile for facebook are much better than the competition. they're right in stream. they're not small and tiny. they are something you can see. i think facebook's well positioneded. they didn't have an advertising business, only a few months ago, and now they're number two. >> so how fast can they get the traction they need to gain some growth in that area? >> well, you know, very fast it see seems like. again, they went from zero to number two. they turned it on and all of a sudden they had $500,000 in revenue every day, but it's
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growing very quickly. i think mobile is a positive story for facebook. the fact they went out and for just 1% of their market cap took out what was the only, you know, mobile social network that was killing which is instagram is a very positive sign for the company. it looks very similar. it's a vertical stream. you can just put an ad right in there and people, you know, people are showing that they're not going to -- they're not going to hate it. in fact, they say that the ads that are inscream have recalls for it on the riright side whic basically garbage. >> we've traded the names in the past. looking at the way the stocks are setting up, i think it might be getting very interesting again. this ad that came out addressed a lot of different areas. number one, i think it's going to give large corporations an idea that, hey, maybe the way these guys are positioning themselves, we can make money.
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but number two, let's look at the knocks on facebook. one was they were going to lose subscribers, they were not going to be able to grow above 950 million. it looks like they have. number two, the mobile strategy wasn't going to work for them. facebook, i'm going to say, is one of the most hated stock os tlut but i don't see a reason to hate it. at 21 and change i thing it sets up for a great trade to the long side. >> i think you're right about commercials. commercials don't work to ad users on the internet. i think it's for brand advert e advertisers who say if you want to affiliate with us, it's sleek, it's new, this is why you should be on facebook. this is what we are. >> light. >> it's interesting. a thing you wrote for "business insider," a little more than a week ago, the headline. with such a negative headline such as that yet you sound so
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amazingly bullish on. this how do you reconcile those facts. are you all of a sudden thinking now they can put that behind it? >> basically it's a little frustrating. this is a company that came out. it's a little frustrating that for years they spent trying to attract advertisers with fancy facebook data, you know. what users put in their profile. everyone describes that as this gold mine of information. when, in fact, if they had been using a more simpler industry standard, something called a retarget. basically if you go to an ecommerce website and look at a product, advertisers using this new method can look at that. all they know is you went to the ecommerce website and what we've heard, what i've heard speaking of people who are buying ads through this new method, look, they could charge three times as much and it would still be profit itable to put an ad on facebook and the funny thing is
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this business model, it's what yahoo has been doing. yahoo! has a terrible name in terms of brand name and advertisers, but yahoo! mail is one of the most valuable advertising spots on the internet because people leave it open all day and facebook is just -- it's really -- and i don't mean it negatively -- yahoo! 2.0 meaning you can leave it up all day. and if you show people a product you've been looking at all day, it's getting to people. it's close to what google does. it's not there, but it's better. >> thanks so much. nick carlson. you just made a case for why you should own this stock, yet you don't own it. >> i don't own it yet. >> how are you making a case for it? >> you're right. i slould bought it and come on tomorrow. i want to own it here. we've been trading it through the weeklies. it's been working really well.
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there is a downside risk. >> i'm keeping you honest, brother. >> i'm honest. >> as we check to breaks stocks holding onful we're in the midst for pretty good moves. s&p 500, 1465 would be the highest level in some 4 1/2 years and still ahead we take the debate on gold versus silver. which is the best play right now. but first mr. romney likes coal, should you? we'll get some answer as we zero in on the rising coal stocks when halftime returns. [ male announcer ] what if you had thermal night-vision goggles, like in a special ops mission? you'd spot movement, gather intelligence with minimal collateral damage. but rather than neutralizing enemies in their sleep, you'd be targeting stocks to trade. well, that's what trade architect's heat maps do. they make you a trading assassin. trade architect. td ameritrade's empowering web-based trading platform.
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by the way, i like coal. i've got to make sure we continue to burn clean coal. people in the industry feel like it's being crushed by your policy. giev tot the get america and north america independent so we can create jobs. >> that was mom discussing his affinity, as you heard, for coal. regardless of who wins, you're likely to see moves. wells fargo showed how they'd
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perform. let's take a look. if president obama is re-elected they expect consumer staples and health care to get a boost. if romney wins, those will be the big winners. stephanie link, size this up. you've seen a bullback your way. . there's a lot of puts and gives here. it's very, very early. >> it's only a month out. >> place your bets. >> the way we're placing our bets is looking at fundamentals. you can't play it on who's going to win, who's not going to win. we don't know. it's too recall. i think, if you look at fundamentals and you look at financials for example and regulation, that's positive.
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health care repeal, that's positive. so you find pockets of stocks and ideas, thing in terms of coal and steael, we've been buying. i'm looking at cliff natural resources. that stock is actually cheaper and they're a big producer. i think there are definitely places you can look to, but you have the look and fundamentals and valuations and that's what we're doing. >> i do have a herty report from wells fargo on my desk. let's move to the different sector, the banks. it's such an important sector. the gentleman at wells says they have intended to outperform the broader index but not by a material amount. so how would you place your bets today some 30 days or so out from the election. >> you guys probably all heard this but i'm not sure if nonwall street people were paying close attention to this phrase. but romney for the first time in any of these presidential deb e debates drew a distinction
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between too big to fail, systemics and regionals. he made the case that dodd/frank needed to be rolled back bhaus they're too favorable and they put a little hamper on competition, so i think that said, it might be really interesting in a romney scenario. you look at how many thrifts and community bank stocks that are out there that nobody pays attention to but they're working well already. >> give me a pick. >> i think obviously m&t is a name everyone likes but you can buy the whole group. kre is the ticker. i believe what you want to do is not pick a tiny bank in some bizarre locale. you probably want to own the mid cap at the smallest. >> the kre, of course, is the regional bank for those of you scoring at home. gold is catching a bid as the dollar loses ground following the ecb meeting earlier today. is 1800 just around the corner? let's go to jackie deangelis,
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the host of a new online sensation it says, jackie,'s called futures. >> it is. it's a live online streaming show dedicated to futures trading. more on that in a second, but you said it. gold indeed higher today. but you know what else is in serious rally mode? silver. raging in the pits today, which metal is the better bet. let's start talking now. rich, let's start with you. which one are you buying today? >> the hit show jerry seinfeld said it the best. gold, jerry, gold. we take a look at the mark. we're up, 14 and change. i like this market because it didn't fail yesterday. a lot of guys are saying there's a resistance at 1800. if we go up there, we potentially go higher. i want to participate in metals. i think the silver trade is a
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little bit risky here. i don't have the chart formation. no trade above 35, 40 quite yet. at this point i think it's a little bit for silver, but i think gold could go here. >> you know, rich, i've got to tell you. number one, i think the yankees are a.l. east champs. i've got to like silver. gold, you just mentioned it. it fell four or five times up there. i don't know what makes you think it's going to go above that. >> it hasn't hit it yet. >> it's the least path of resistance. that's why i'm getting long silver right now. i like it a lot better than gold. if you talk about the small investor that wants to own either product physically, you're talking silver itself. not gold. >> let's stop the chitchat for a second. i want to break down your gold trade. >> i want to. >> we close above it. i'm going to like it. stick with the trade. put a 20 dollar stop and i'm
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looking for 20 buck ostown upside. if i don't get into the trade today, aisle can sell and i'll recalculate and maybe take a look tomorrow. >> scott, your question? >> that's how much you love it. >> rich, how important is the 1800 level in gold? >> i don't think it's that important. i think the market is waiting for a catalyst. >> it seems to be important. it seems to be the line in the sand right now. >> i disagree. i think the market is just waiting and i think we get -- >> absolutely, scott. >> that's your catalyst. by the way, i'm already long silver at a lower price. if you buy silver up here, where's your stop, anthony? >> where's my stop on the downside? i want to pay about $34 and let it go on the upside. i don't like the rif atlantsk t >> like i said. >> we like them both. anthony likes silver, al likes
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it. lolg onto future log onto futures.com. we're going to reveal our live reports at 1:00 p.m. and also log on because we've got too very special guests with us. marc faber and jim rogers, chairman of chairman holdings. today, 1:00 p.m. eastern future ps now.cnbc.com. scott. >> in the meantime, here's what's up. bargain hunting for retail stocks. tom talk teles us why bigger certain always bet when half time comes back. >> next h e cover the breakouts and break downs in pops and drops. plus, they say the dumb money
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following that story. >> we've seen a lot of management musical chairs since the fallout from the libel standout. there us was an announcement of the reshuffling of the ranks within the investment bank that. i're creating an investment committee and reshufrling some of those investments around. there is a senior executive here in the u.s. skip mcgee, the most senior alum in the ranks at barclays. he'll be the chairman at the banking committee starting the first quarter of next year. he ee here's the interesting thing. in the wake of that scandal, a lot of traders were speculating
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over -- traders and we should say traders and general public alike whether barclays would want to spin out its investment bank with the announcement of a ceo last month there was speculation whether that would be something he would look to do and i'm told nothing imminent is happening but this is really viewed as a reinforcement of the bank and a sng of these investments so if down the line they decide to spin this out, they lo have a very independent operating committee in place. i don't know how traders feel about it. but they're definitely getting a bid today. >> do you want to get a quick trade? >> we'll figure it out. i think they've had a lot of negative news here. but use your head to protect yourself. xlf. >> good stuff. meantime americans put the brakes on spending in september. retailers said sales were softer last month than in august. tom stemberg is managing general partner and he's also the former chairman and ceo of staples. he joins us now to break down
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the winners and losers. good to have you. >> thanks for having me, scott. >> characterization of sales appears to be good, not great. would that be good for september? >> there's a by furcation here. if you look at the chains who i portray as serving the middle class, people like target and macy's who had like a 2% increase, surely that's not robust and speaks to the kind of pressures the middle class americans are facing. on the other hand, if you look at the retails that tend to service the higher end customers, people like nordstrom and costco, they did slightly better. nobody did great. >> it's funny because discretionary stocks in the third quarter were the best performing group, so consumers still seem to be willing to spend money, despite, you know, perhaps what you're saying. >> well, you know, individuals have deleveraged their balance
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sheets, so they've got spending power now. credit card debt continues to come down. so the americans are in a position where they could spend money if they felt some degree of confidence. unfortunately i think they're worried and thus by and large retailers have not done well. now, there's selective stories like lululemon or one of ours like j. mclaughlin who's doing extremely well but those are not the rule. >> you've got stock like -- stocks like the gap up 100% year to date, macy's has done well, coors has done well. you have had mid-levels hold up and even some of the bottom retailers have managed to do pretty well. >> as stocks they've done well but you're talking extremely low numbers. the gap had comparable store sales for i don't know how many
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quarters in a row but a lot. their square footage has gone down a lot. in many cases we're not even back to the highwater mark. >> let's talk staples if we could given your former affiliation with that company and i'm sure you have an affinity for it obviously. they've announced these changes and a way to improve the store experience and certainly the financial situation, yet wall street certainly seems to be taking a much more skeptical view of the situation. what's your view today? >> well, i don't talk about statement staples. i talk about the industry of the superstore which we at staples invented. they're doing things around the edges but there are really three fundamental things that have to be addressed in the industry to see thiess stocks really move. one is you gievet to consolidate from three companies to two. second is all these companies are trying to become technology
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player, you can't be a technology player without having the leading technology vendor being apple in your stores or on your websites. and three, and i think also very, very importantly, you've got get a level playing field, vis-a-vis, internet tax collection and it looks like there's a lot of movement in washington now to pass that bill. it would be a huge boon to the office products player if it did pass. >> i know you won't talk about it, sir, but certainly as you watch the situation unfold there, aren't you disappointed? i mean this is your baby. >> i'd like to see the stock do better. as one who shops the stores and uses their delivery service, think the experience is really quite good and i think they've got some big macro problems to address and i think over time they will address them. >> i appreciate your addressing that. i also would like to have you address the governor's performance last night. you've been on the program several times as a surrogate for
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romney. is there still a lack of specifics though? >> you know, as mitt correctly pointed out last night, you've got to work with congress to come up with the specifics as to exactly which loopholes you're going to close and how and when, and you don't want to go -- you want to set principles and very firm guidelines in place. i think the governor did a phenomenal job doing that last night. he's got a clear vision for america that's distinctly different from the vision the president has. mitt wants to, at least in the private sector, get rid of regulations that's holding us back, create a creditn't for smaller business, create a more effective tax system and president obama seems to want to have more government and more taxes and we even seen how that's worked for the last four years and the results have not been pretty. >> in fairness, don't you think the governor needs to arti s tse
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his plan rather than just submit a wish list? >> again, i don't want to generalize. i think he made it really clear, it's certainly in place, but that's a very small number. he focused also on the tremendous spending orgies the obama administration has been embarked upon from the almost $900 billion industry and sill ly solyndra. not supporting the keystone pipeline. i think romney knows what it takes. >> the previous administration wasn't pinching pennies either. i know you no that. good to have you on the show. when "halftime report" returns, what a romney win would mean for the dollar. we'll be right back. [ male announcer ] the 2013 smart comes with 8 airbags, a crash management system
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welcome back. what would a romney victory mean for the dollar? let's bring in andy bush, live from chicago. the dollar's weaker today, the stock market is higher. how would that play out regardless of what happens in
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the election? >> right. well, i think it's really important to look at the differences between the two candidates, and clearly romney did extraordinarily well. the market's reaction was very quick. s&p was up about seven in futures trading. but here's how to look at it. bmo capital did geopolitical strategy research on the difference in the two candidates' tax policies. this is what it boils down to on the tax corporate side. 's corporate tax plan is much stronger for the markets and much more beneficial than president obama's. we did that research back in june. that's really what's been playing out. if you look at it, it benefits three groups. one is small firms because of the cut in the corporate tax rate from 35% to 25%. the elimination of the territorial nature of the tax code eliminates big tech and pharma. those are the guys that have is trillion dollars overseas which they could bring back to the united states for dividend
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payouts, share buybacks, debt buybacks and maybe for building plants as well. that's why when you saw romney pull ahead last night, we had a strong move for risk on. >> i just wonder if the euro holds the cars in all of this. more positive feeling about what's happening in the eurozone. the euro it hanging around the 130 level. it factors into your trade today but you're not trading euro/dollar. >> no. i'm not playing euro against the dollar. right? i'm just playing a trade with the outlet for the bank of japan meeting which is early tomorrow morning. basically i'm saying, hey, look -- japan needs help. they have to do something to stabilize the yen. now they engaged in quantitative easing. they added another 10 trillion yen on to the 40 trillion yen they're doing, so it is significant but they really need to start looking at other ways, such as foreign bond buys or maybe even a swiss national bank style of intervention where
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they're buying euros against the swiss franc. that's what i think potentially is going to happen today. >> your levels on the trade? >> sure. i want to buy euro/yen. more the more aggressive people, you could do it around 102. i'm leaving a stop 200 points below 99.50. a take profit at $107.50. it looks pie in the sky but if the bank of japan or finance ministry steps in and intervenes in the fashion i think they're going to, eventually this trade will work very, very well. >> andy, good to talk to you. coming up in the next hour, "vanity fair's" profile of jamie dimon. how he's weathered several back-to-back to back storms. but first final trades are next.
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around the horn, ladies first. >> it is clear that the consumer

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